Luye Pharma Group Ltd. announced a two-pronged capital strategy: a concurrent repurchase of its outstanding US$180.00 million 6.25% convertible bonds due 2028 and a planned issuance of new USD-denominated convertible bonds.

The repurchase will be executed under Condition 8(F) of the original bond terms. UBS AG Hong Kong Branch has been appointed Dealer Manager under an agreement signed on 3 June 2026 to gather sell-side indications from existing bondholders. Completion is subject to customary conditions, and the agreement may be terminated under certain circumstances.

Parallel to the buy-back, Luye Pharma intends to issue new USD convertible bonds to institutional investors outside the United States in reliance on Regulation S. UBS AG Hong Kong Branch will act as Manager for pricing and placement. Final terms—including size, issue price and coupon—remain under negotiation. Net proceeds are earmarked for refinancing existing debt, including funding the concurrent repurchase, and for general corporate purposes.

Management expects the combined transactions to extend the company’s debt-maturity profile while avoiding immediate shareholder dilution. Any shares issued upon future conversion of the new bonds will be allotted under the existing General Mandate, which currently authorises issuance of up to 752.33 million shares (20% of issued share capital); no additional shareholder approval is required.

Shareholders and potential investors are advised to exercise caution, as both the repurchase and the new bond issue remain conditional and may or may not proceed.